The United States will impose a new 25% tariff on imports from India beginning at 12:01 a.m. ET on August 27, under an Executive Order issued this morning. The move comes in response to India’s continued purchase of Russian oil, which U.S. trade officials say undermines current international efforts to isolate Russia economically.
This new tariff will be stacked on top of the previously announced 25% reciprocal tariff on Indian goods, already scheduled to take effect August 7. Together, these measures significantly raise the cost of Indian imports into the U.S., impacting a wide range of products unless specifically exempt.
According to the order, exceptions include goods already in transit to the U.S. prior to the effective date and those entered for consumption before September 17. The order also outlines circumstances in which the new duty does not apply, such as in cases covered under existing trade defense regulations or articles admitted into foreign trade zones under certain classifications.
This tariff escalation reflects broader trade tensions and a shifting global supply chain environment, as the U.S. adjusts its economic posture in light of geopolitical developments. Importers are now facing increased complexity and cost when sourcing from India, and many are expected to reevaluate their procurement and logistics strategies as a result.
Customs and compliance experts are monitoring updates from U.S. Customs and Border Protection (CBP), and further guidance is expected in the coming days. Businesses impacted by the new duties are encouraged to consult with trade counsel and customs brokers to assess the scope of the changes and determine mitigation strategies.
